Finclusion Group, the African-focused FinTech platform crafting neobank offerings for its users, has secured $20 million in funding from investors in its latest capital raise. The company, based in Mauritius, an island off the African coast, said it will use the cash to expand into Mozambique and Uganda and grow its operations in Eswatini, Kenya, South Africa, and Tanzania. In addition, the new capital will be earmarked for product expansion across the firm’s wage streaming and buy now, pay later (BNPL) offerings. This latest Infusion of capital comes as BNPL products that allow consumers to pay their bill in interest-free installments, are becoming more attractive to consumers in Africa.
The service is gaining traction in many countries as digitally savvy and highly unbanked populations look to take advantage of the innovative payment solution. The latest round of funding will enable the FinTech to create financial products that are accessible to residents of among the most remote locations and in the biggest cities across the African continent. The latest infusion of capital follows a $20 million funding last fall round from Lendable, the London-based venture capital company that invests in FinTechs. Finclusion said the company has seen an increase in originations of 140% over the last 18 months. It lent more than $30 million in 2021 and had revenues more than $10 million. The firm said it expects to double originations and revenues this year.